Living wages

What is a living wage?

A living wage is a remuneration received for a standard workweek by a worker in a particular place sufficient to cover the basic costs of living for the worker and his or her family. Living wages include the basic elements of a decent standard of living; housing, education, healthcare, food, drinking water, transportation, mobile usage, clothes, mandatory contributions & taxes, and a provision for unexpected events or emergencies.

Why pay a living wage?

If we are to achieve a real sustainable impact, respecting human rights must be a priority for public and private sector parties. According to the latest statistics of the ILO, 6.4% of the employed world population lives in extreme poverty (below USD 1.90 per day). This means that employed people, even though they are working full-time jobs are not able to escape poverty. Since access to a decent standard of living is a human right, living wages and living income are priority areas that require cross-sectoral commitments.

“Living wages provide workers around the world a way out of poverty”

 

Living wages provide workers around the world a way out of poverty, which is not only beneficial to the individual and his or her family but also to strengthen local economies, foster gender equality and enhance sustainable business activities. Companies and organizations that are committed to paying a living wage can expect increased benefits in employee motivation and retention, improved reputation, and better market position.

Our support for living wages

We support companies and organizations in calculating the living wage gap, developing insightful digital tools such as dashboards for managers, co-develop living wage policies and supporting local offices with the implementation of living wages and establishing the right context for it.

For companies that work with smallholders in their supply chains, we can conduct living income studies through local data gathering. Our global network means we have people on the ground in over 80 countries that have a good understanding of the local context. These projects are tailored to the needs and challenges of your supply chain.

Innovative solutions

We are working closely with our colleagues from Peterson Technologies to enhance data utilization. Dynamic and customized dashboards facilitate data comprehension and allow us to explore cause-and-effect relationships. This way we let innovation and technology support our work and goals. Feel free to share ideas and your challenges.